USD 115 million syndicated loan arranged for ŞEKERBANK
On Thursday 10 December, the Dutch development bank FMO, together with the Korea Development Bank (KDB), have arranged a USD 115 million multicurrency syndicated loan facility for ŞEKERBANK in Turkey. The loan has a tenor of up to 5 years. FMO provided and multi-currency funding, and also through the ACTIAM FMO SME Finance Fund . KDB has underwritten the largest tranche of the loan facility, and amongst others, OPEC Fund for International Development (OFID) joined as participant.
ŞEKERBANK has been a client of FMO since 2011. FMO started its relationship with ŞEKERBANK by investing TRY 61.500,000,000 in their Asset Guaranteed Bond Program. This landmark syndicated loan transaction brings Asian banks like the KDB to the Turkish financial market. It is the first syndicated loan in Turkey providing a local bank with up to 3 years of commercial funding combined with 5 years DFI funding. The loan will support ŞEKERBANK in providing its clients with green lines to lend into energy efficiency and renewable energy projects, and in supporting Turkish SMEs and businesses in cross border trade activities.
FMO’s Chief Investment Officer, Linda Broekhuizen, is “proud to have arranged this facility, particularly because its impact reaches from renewable energy and energy efficiency, all the way to supporting Turkish SMEs with their cross border trade and export, thereby stimulating job creation.”
Şekerbank’s Executive Vice President, Zeki Önder, commented: “Şekerbank has established strong relationships with international development institutions over the year. Our cooperation with FMO has led to a 5-year Sydnicated Loan as a first time in Turkish Banking sector. This deal is a demonstration of Şekerbank’s sustainable Community Banking approach is being rewarded by international institutions. It should also be emphasized that this facility brought together the investors from Korea, Austria and the Netherlands to support sustainable development of our SME customers, their energy efficiency investments and foreign trade activities. This 5-year facility is also a confirmation of trust to Turkish Banking system.
About Şekerbank:
Şekerbank T.A.S. was founded in 1953 with the small savings of hundreds of thousands of Anatolian sugar beet cooperative farmers with the aim of supporting rural development and the sugar industry. Today, it provides services in the fields of Small Business and Agricultural Banking, Commercial/SME Banking, Corporate Banking, and Retail Banking. As the first bank to enter the Borsa Istanbul Corporate Governance Index in Turkey, Şekerbank has almost 300 branches, 11 regional offices across Turkey (3 in Istanbul, 8 in Anatolia), and one foreign representative.
With almost 66% of its branches located outside of Turkey’s three major cities, Şekerbank has defined its mission as being 'Community Banking' with an understanding of broad-based banking. In line with this mission, Şekerbank has brought banking services to segments that do not regularly access such services and also gives priority to projects from many other regions and cities of Anatolia in addition to those from big cities and large companies, thus acquiring a special and distinctive position in the sector thanks to its niche strategy.
Operating with the aim of supporting social development covering all its social stakeholders since its foundation day, Şekerbank keeps serving by improving its mission from the perspective of sustainable development.
Serving its customers through sekerbank.com.tr and the call center number 444 78 78 in addition to its almost 300 branches spread to 71 cities and almost 100 off-center districts across Turkey, with also its affiliates Şeker Securities, Şeker Factoring, Şeker Leasing, Şekerbank Kıbrıs Ltd., and Şeker Mortgage.
ABOUT FMO
FMO is the Dutch development bank. FMO has invested in the private sector in developing countries and emerging markets for more than 45 years. Its mission is to empower entrepreneurs to build a better world. It invests in sectors where it believes its contribution can have the highest long-term impact: financial institutions, energy and agribusiness. Alongside partners, it invests in the infrastructure, manufacturing and services sectors. With an investment portfolio of EUR 8 billion spanning over 85 countries, FMO is one of the larger bilateral private sector development banks globally. www.fmo.nl
ABOUT KDB
The Korea Development Bank (KDB) was established in 1954. It became a leading financial institution in South-Korea as the No.1 state-owned bank during its operation. As a leader in local corporate financing, KDB Bank is an important role-player of economic development and financial market of South Korea. The main areas of its business are corporate financing, investments, bond issue and financial consulting. KDB became a private entity in 2009 and was transformed into a financial holding company under the name KDB Financial Group. As a member of the Group, KDB Bank itself operates with 2630 dedicated employees; its network consists of 64 local and 8 overseas branches, 5 overseas subsidiaries and 4 overseas representative offices worldwide.
ABOUT OFID
The OPEC Fund for International Development (OFID) is the development finance institution established by the Member States of OPEC in 1976 as a collective channel of aid to the developing countries. OFID works in cooperation with developing country partners and the international donor community to stimulate economic growth and alleviate poverty in all disadvantaged regions of the world. http://www.ofid.org
ABOUT ACTIAM
ACTIAM is a Netherlands based asset manager with a particular focus on sustainable investments. Ultimo 2014, ACTIAM has over EUR 51 billion assets under management. With its sustainable performance, services and advice, ACTIAM helps its clients to achieve their investment goals. ACTIAM firmly believes that financial return and social return on investment can go hand in hand. Corporate social responsibility has permeated deeply into ACTIAM’s business processes and practices. . For more information, see www.actiam.nl.
